How To Make NFTs For Music | $11.7 Million Album Release

this guy just released an album that made 11.7 million dollars using something called nfts so now you might be wondering well what are nfts and how how can i use them to make more money next time i release music are nfts the future of the music industry well that's what i'm going to explain here in this video [Music] what's up guys justin here and today i've got something totally different for you or at least totally different from anything that i've ever covered here on the channel before and i think you're really going to like this and i'm going to give it to you free of charge the only thing that i ask is that if you find this video helpful please promise me that you'll click that subscribe button if you're not already subscribed to this channel alright so like i said this video is a bit different from some of the other usual music promotion stuff that i cover here on the channel this video is going to be about how musicians can take advantage of blockchain technology which is the technology behind cryptocurrencies like bitcoin and no this is not a video about investing in bitcoin and know you don't need to know anything about blockchain technology to watch this video i don't fully understand blockchain technology and i'm sure as heck not going to try to explain it i couldn't if i wanted to but what i am going to share is a really cool way that you can capitalize on this new technology to potentially generate a lot more money from your next release and i want to break down the basic principles of why this works and show you a low-tech alternative so for those of you that aren't very tech savvy don't worry i've got some good stuff coming up for you so just stick with me so first thing i'm going to explain is how this guy made 11.7 million dollars re-releasing an album that already came out three years ago then i'm going to briefly explain what nfts are and why they have the potential to drive so much revenue and i'm also going to cover two ways that you can apply these principles to your next release the first one is going to be a super simple low-tech strategy and then the second way is to actually create and release these nfts yourself and i'm going to actually show you step by step how to do that so we've got some really exciting stuff coming up in the next few minutes and don't forget you promise to subscribe if it's good so i'm going to hold you to that but first things first who is this guy this is an edm producer that goes by the name of blau now i know it's spelled a little weird but i guess that sometimes happens when a techie crypto guy starts producing edm or vice versa whatever order that started in all right so what's so important about blau well he just released an album that already came out in 2018 and i have no idea how much it originally made but this time it was a whopping 11.7 million dollars now if you watched some of my videos here on the channel before you know that i'm a big fan of the tiered pricing model for album releases where you have multiple packages for fans of different levels like maybe a 10 download for the average run-of-the-mill fan then maybe a higher priced tier that might include the album on vinyl for a bit more and then a deluxe package of some sort for your super fans well that's what blau did and his highest tier a one-of-one platinum tier sold for 3.7 million dollars so how did he do that well he released his album in a collection of digital tokens called nfts now nft stands for non-fungible token and nfts are essentially digital tokens that use blockchain technology so that they can't be replicated and this creates scarcity scarcity has the potential to be valuable if something's desirable and scarce it becomes valuable so gold is valuable for example because it's desirable and it's a finite resource oil's the same way money the us dollar is valuable because only so many are printed and we all agree that something is something that we can exchange for goods and services a mickey mantle rookie card is valuable because there's only a few in existence the mona lisa is a great work of art but the thing that makes it so valuable is not because of what a nice painting it is nowadays in 2021 there are thousands of talented artists out there that could probably replicate the mona lisa exactly to a t there are talented artists out there that create forgeries but a forgery isn't worth anything the thing that makes the mona lisa so valuable is that it was painted hundreds of years ago by leonardo da vinci there's only one and there will only ever be one it's that desirability and that scarcity that creates value on the other hand a recording of the london symphony orchestra performing beethoven's ninth sympathy isn't really worth much of anything maybe ten bucks one could make the argument that a beethoven symphony is every bit as good a work of art if not better than the mona lisa but a recording of a symphony doesn't have any value because it's not scarce it can be easily replicated music is abundant there are millions of tracks available stream on spotify when you distribute your music to spotify anyone can stream it it's not scarce it's abundant now if you have a new track on your hard drive that you've never released before and there's only one that very well may have some value amongst your fan base because there's only one copy of that and it's on your hard drive but as soon as that file makes out into the world it can be easily replicated people can make copies and then the values diminished now that's the cool thing about these nfts you can create an nft with your music and create a one-of-a-kind digital token that can't be copied it can't be reproduced and that's what blau did and that's why he was able to generate 11.7 million dollars selling his album because he only created 33 tokens so those tokens were scarce and there's a desire for them amongst his fans as well as nft collectors which gives them value and blau isn't the only artist to release his music in nfts daft punk or at least somebody claiming to be daft punk has just recently been gifting nfts to celebrities and at the time of this recording apparently lindsay lohan is selling one that she received for fifteen thousand dollars now nfts might be new but the concept's not not even when it comes to music remember this guy 2015's most hated martin shkreli the guy that bought the patent to an age drug and then jacked up the price from thirteen dollars a pill to seven hundred fifty dollars a pill what a douche bag well he also bought something else that made headlines he paid two million dollars for a one-of-a-kind never released wu-tang album once upon a time in shell in now this wasn't even an nft sure it came in a nice handcart box accompanied by a leather bound book with 174 pages of parchment paper filled with lyrics and background on the songs but most importantly it was unreleased meaning nobody else had it and that scarcity is what made it worth something and that's two million dollars apparently so what does it mean for you well if you have fans that are willing to spend some money with you whether that's tickets to a show a t-shirt your album on vinyl you might just have a couple dedicated hardcore fans that have a little bit of money to spare that very well might want a one-of-a-kind rare collectible like an nft that contains an exclusive track so in just a moment i'll show you how to create one but first here's a low-tech alternative so one of the cool things about nfts is that they appeal to people beyond just your fan base also nft collectors and that's also the case with vinyl not only will your super fans be interested in having your album on vinyl but your average run-of-the-mill fans or even people that might only kind of like your music might be interested in owning a copy if they're avid collectors of vinyl and the vinyl market has been growing year after year for almost 20 years now and you could create some scarcity around your next release by creating a one-of-a-kind vinyl copy of your album now you can still of course produce tons of standard release copies of the album on vinyl but maybe have just one that includes some extra tracks maybe comes in a different color with some unique album art maybe it comes in a hand carved wooden box with a certificate of authenticity and then you sign it so that you actually create something that truly is unique and one of a kind now most services that press vinyl are going to want you to order in bulk but you can use one group vinyl for a one-off exclusive that's only available to one lucky fan all right so that's the low-tech way to create something unique for your super fans now let's create an nft so this isn't something i do all the time i don't claim to be an nft expert in fact i just did a little bit of research to make this video and i came across this helpful article that i'll link to in the description so if you have any questions about what we're doing here please refer to that article it'll expand on some things and it links to some additional resources that can help answer some questions now a quick word of warning nfts are not for everybody and i'm not necessarily recommending that you create one first of all they aren't free they cost money to mint so you don't just want to go start creating them unless you actually have a pretty solid fan base that you think might actually be interested in buying them beyond that i'm just going to flat out advise against creating these if you don't own any cryptocurrency if you've never you know sent or received any cryptocurrency before you know the previous low-tech option that i mentioned earlier is a fantastic way to create scarcity in the same way as with these nfts and for many artists it's just going to be a flat out better option for your fan base anyway now that being said if you're pretty knowledgeable about cryptocurrencies and you think this is something that your fan base would buy you want to give it a try i'm going to show you how to do it but one last disclaimer before we get started i didn't even finish mining my token because the price for mining it was just too high the cost is going to fluctuate based on the value of ethereum at the exact second that you're minting the token but for me it's gonna be around fifty dollars and be careful because they charge you two separate fees at the end there's one transaction fee to approve performing transactions which was the equivalent of about seven dollars for me at the time and then there's another fee to actually mint the coin which was going to be about 50 at that point i just decided that it wasn't worth it since i don't plan on actually trying to sell the nft myself but you might want to create one so i'll walk you through the process basically what we're going to do here is we're going to do two things first we need to create an ipfs link for your music you don't need to know this but ipfs stands for interplanetary file system and it's basically just a step that's going to ensure your nfts can't be counterfeited or corrupted now once you have your ipfs link you'll then mint your nft token with wearable to sell on marketplaces all right first thing you're going to do is go over to pinata.cloud and this is where you're going to create your ipfs link so first thing you need to do once you go to pinata.cloud is create an account all right so i'm just going to quickly create my account here all right so now that i've created my account i've confirmed it in my email i can upload my links so i'm right here if you go back to your dashboard you click on pinata upload it'll bring you to this page and you can upload your files so i'm gonna find the file on my computer here all right so i'm uploading my audio file and now i'm going to name that i'm going to choose preserve file name and click upload all right so now my file has been uploaded so i'm going to head over to pin explorer so now i'm going to click on my iapfs hash now i'm going to hover over the file and right click and click copy link address now if i paste that link address into my browser it'll take me to my file over here but you don't need to paste it in your browser just after you copy it you'll come back over here and click these three little dots next to your pin right here and then you'll choose the option mint nft now this is going to take you to another website wearable.com that's going to allow you to create your nft alright so you have the option to create one nft or you can create multiple and sell it multiple times so if say you wanted to make this exclusive to 10 people you could have 10 copies of the same nft so there's still some scarcity there i'm just going to make one copy and now you'll upload an image that represents the audio file you're minting all right now you can create your own collection or you can just choose the wearable collection by default which is what i'm going to do so now you'll name your file and for the description be sure to explain that the link to access the audio file itself will be available to sign for on wearable after they purchase the nft all right then down here you can choose your royalty rate so this is once the item sells you get a percentage every time some transaction occurs so people are trading your token uh you can get a royalty percentage every time that token is traded so you get a percentage of whatever that sells for so they suggest 10 20 30 i guess you can do whatever percentage you want i'm just going to leave this set to 10. then back up here at the top you actually have an option to set your sale price as well all right so this is a pretty awesome track um one aetherium is currently trading for about fifteen hundred dollars i think so maybe i'll just sell it for one aetherium but i don't know maybe i'll make it a little bit more affordable how about one tenth of an ethereum that's only 151 dollars anybody can afford that and it's well worth it i assure you then back up here actually one other step is uh this unlocked once purchased this is where you're going to paste that link that you create you created just a second ago so i'm going to paste that right here now scroll down here and complete the process click connect wallet and create and now you'll connect your wallet for your digital currency or if you don't have one you'll create a new wallet here and once you connect your wallet you'll simply follow the instructions on the screen to finish mining your coin all right just be aware as you go through the process of mining your token that fees can add up pretty quickly depending on the value of ethereum that day the first step is to pay a fee to approve the transaction which for me was about seven dollars which is fine but then after that i was prompted to add another 45 dollars to finish mining the token which i wasn't particularly interested in doing i'm not expecting to really sell the token this was just for demonstration purposes so i stopped there but that's the process if you want to give it a try then there's always the low-tech method that we talked about earlier as well but in any case i hope you found this video helpful we covered a few different things here including what nfts are how blau made 11.7 million dollars releasing his album in the form of nfts i explained why these things can be valuable due to scarcity if there's also desirability in other words if people are willing to buy them from you i covered the low-tech alternative and then i walk you through the process of creating an nft with pinata and wearable so hopefully you got some value out of that if you did please give the video a thumbs up and leave a comment in the comment section below and don't forget that you promise to subscribe if you got some value out of this video so don't forget to do that and lastly i have a free guide 61 ways to get more exposure for your music that you can grab for free just click the little icon in the upper right corner of the screen i'll also throw a link down in the video description or you can just head over to jammob.com and grab your copy there but that's gonna wrap things up for this video thanks for watching i'll see you next [Music] time you

Channel: JamMob

Views: 46,460

Keywords: non fungible token, bitcoin news, crypto news, cryptocurrency news, nft art, blockchain art, crypto news today, how to make nfts, how to make nfts music, music release, nft music release, create nfts, mint nfts, make nfts, what are nfts, crypto news alerts, crypto news now, non fungible token music, release nft music, 3LAU, blau, 3lau nft drop, 3lau ft album, 3lau nft auction, 3lau nft, non fungible tokens explained, blockchain, crypto, bitcoin, cryptocurrency, ethereum, jammob

Id: HQa3__Qndj4

Length: 15min 5sec (905 seconds)

Published: Tue Mar 02 2021